Differences in working capital for different industries, Financial Management

Assignment Help:

Differences in working capital for different industries

	Manufacturing	Retail	Service
Inventories	High volume. WIP and finished goods	Goods for re-sale only, usually low volume	No or very little inventories
Trade Receivables	High levels of debtors, as dependant on a few customers	Very low levels as most goods bought by cash	Usually low levels as services are paid for immediately
Trade Payables	Low to medium levels of Payables	Very high levels of trade payables due to the huge purchases of inventory	Low levels of payables

Related Discussions:- Differences in working capital for different industries

Financial evaluation and decision making, Financial Evaluation and Decision...

Financial Evaluation and Decision Making: The final major element of financial management is the evaluation of the information provided through the accounting and budget proces

Define how do mergers affect small businesses, How do mergers affect small ...

How do mergers affect small businesses? A: As per to a recent study by Federal Reserve and Wharton Financial Institutions Center economists, not a big deal. Their analysis reve

Inventory turnover ratio or stock turnover ratio, I need a report on the to...

I need a report on the topic Inventory Turnover Ratio. Can you please assist me for Inventory Turnover Ratio report for about 2500 words?

., Identify and explain the key stages in the capital investment decision-m...

Identify and explain the key stages in the capital investment decision-making process and the role of investment appraisal in this process.

Savings, This is the part of after-tax personal income that is not spent.

This is the part of after-tax personal income that is not spent.

Margin trading, Margin Trading: Suppose an investor wants to buy 100 Re...

Margin Trading: Suppose an investor wants to buy 100 Reliance Energy shares, whose market price is Rs.500. This transaction requires Rs.50,000 but the investor has only Rs.30,0

Walter and gordon model, Equity share using walter and gordon model

Equity share using walter and gordon model

Define the safety and soundness implications of mergers, Define the safety ...

Define the safety and soundness implications of mergers? A: No. All mergers need regulatory approval and are subject to intense examination through regulators. If anything, the r

Weak form level of efficiency-forms of efficiency, Weak form level of effic...

Weak form level of efficiency This level states that share prices fully reflect information in historic share price movement and patterns (past information/historic information

Interest rate risk, Bonds are usually recognized by yields, which cha...

Bonds are usually recognized by yields, which change from time to time owing to many market forces. There exists an inverse relationship between the bond price and the

Write Your Message!

Name

Email id

Message

Verfication Code

User Account

All Pages